Music Magpie FY23 losses widen

Music Magpie has revealed that pre-tax losses have widened to £6.8m during the year ended 30 November 2023 from £1.5m in the prior year. 

While the consumer technology category saw gross profits rise 15.8% to £23.4m, revenues declined from £145.3m to £136.6m during the period after sales dipped. 

Nevertheless, the retailer has grown its adjusted EBITDA by 15.4% to £7.5m in the year, having benefited from tight control of margins and costs. 

In an update on current trading, Music Magpie maintains that it has made a positive start to the new year with sales in line with management’s expectations. 

Steve Oliver, CEO and co-founder of Music Magpie, said: “Following a successful end to FY23 we are pleased with FY24’s Q1 performance. Having recently made changes to our US consumer technology buying strategy and operations, and implemented further cost savings in the UK, we believe that Music Magpie is well positioned for the remainder of the year.

“We expect second-use markets to continue to grow which will complement our strategy of unlocking a ‘world of inventory’ from consumers’ homes and providing them with a solution that is ‘smart for you, smart for the planet’ across our existing product categories and potential new product categories. As such we remain confident in Music Magpie’s future prospects.”